REPORT TO THE CITY COUNCIL
September 24, 2020
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
THROUGH: Randall W. Morrison, PE, Assistant Director
Public Works Department, Engineering Division
BY: SCOTT TYLER, PE, Public Works Manager
Public Works Department, Engineering Division, Project Management
SUBJECT
Title
Award a construction contract in the amount of $583,767.00 to Siemens Mobility, Inc. of Riverside, California, for the City of Fresno Citywide Street Light LED Retrofit Phase 2 - Bid File No. 3663 (Citywide)
Body
RECOMMENDATIONS
Staff recommends that the City Council award a construction contract with Siemens Mobility, Inc. of Riverside, California in the amount of $583,767.00 as the lowest responsive and responsible bidder, and authorize the Public Works Director or designee to sign the construction contract on behalf of the City of Fresno.
EXECUTIVE SUMMARY
The City of Fresno seeks to replace existing streetlight fixtures on approximately 2,500 cobra head streetlights along major streets throughout the City of Fresno with energy efficient and higher quality light emitting diode (LED) lighting. The existing streetlights are high pressure sodium (HPS) fixtures that, on average, utilize more than double the power of modern LED fixtures. Awarding a construction contract for this LED retrofit project will convert the remaining HPS cobra head streetlight fixtures not included in the recently completed PG&E LED retrofit project. The project is completely funded by a Federal grant from the Regional Surface Transportation Program (RSTP).
BACKGROUND
City of Fresno Citywide Street Light LED Retrofit Phase 2 Project was initiated in FY17 when the City Council adopted a resolution authorizing the submission of the Federal RSTP grant application on September 15, 2016. The grant funds were obligated and the project was budgeted in the adopted FY18 Capital Budget by City Council. The project was designed by Public Works staff using LED design standards developed for the PG&E Citywide LED retrofit project.
City Council held a workshop on August 16, 2018 pertaining to the Citywide replacement of high pressure sodium (HPS) streetlight fixtures with more energy efficient light-emitting diode (LED) fixtures. Also on August 16, 2018, City Council adopted a finding of Categorical Exemption per staff determination, pursuant to Section 15301 c of the California Environmental Quality Act Guidelines, adopted a resolution to approve a Finance Agreement and Energy Services Contract with Pacific Gas and Electric Company for implementation of certain energy related services, approved six agreements with Pacific Gas and Electric (PG&E) in the total amount of $10,237,062 for a General On-Bill Financing (OBF) Loan and approved a Master Services Agreement and Work Order for Turnkey Services for the Installation of Light Emitting Diode (LED) Streetlights throughout the City of Fresno (Citywide). On October 25, 2018 City Council approved Cree LED Streetlight Fixtures for the Installation of Light Emitting Diode (LED) Streetlights throughout the City of Fresno (Citywide). The Citywide Street Light LED Retrofit Phase 2 Project will convert the remaining HPS cobra head streetlight fixtures not included in the recently completed PG&E LED retrofit project.
The Notice Inviting Bids was published in the Business Journal on June 10, 2020, posted on the City’s website and was sent via fax to 18 building exchanges. The specifications were distributed to 53 prospective bidders. Seven sealed bid proposals were received and opened in a public bid opening on August 11, 2020, with the bids ranging from $534,301.00 to $1,363,855.00. Advanced Lighting Service bid was deemed unresponsive due to not meeting the Federal Disadvantaged Business Enterprise (DBE) goal requirements of 9%. Siemens Mobility, Inc. exceeds the DBE requirements and is deemed the lowest responsive and responsible bidder. The apparent low bid price was 31% below the Engineer’s Estimate. The bids will expire 64 days after the bid opening of August 11, 2020.
If the bids are rejected, the project will be rebid resulting in a delay of approximately 60 days.
Staff is recommending award of a construction contract to Siemens Mobility, Inc., in the amount of $583,767.00, to replace approximately 2,500 existing cobra head HPS streetlight fixtures along major streets throughout the City of Fresno with energy efficient LED lighting and to authorize the Public Works Director or designee to sign and execute the standardized contract on behalf of the City of Fresno. City Attorney has reviewed and approved to form.
ENVIRONMENTAL FINDINGS
Staff has performed a preliminary environmental assessment of this project and has determined that it falls within the Categorical Exemption set forth in CEQA Guidelines Section 15301(c) (existing facilities), which exempts the repair, maintenance, or minor alteration of existing structures or facilities, with no further expansion of existing use. Furthermore, staff has determined that none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project.
On August 16, 2018, City Council adopted a finding of Categorical Exemption per staff determination, pursuant to Section 15301 c of the California Environmental Quality Act Guidelines for Citywide LED retrofit.
LOCAL PREFERENCE
The local preference was not implemented based on grant funding requirements for federally funded projects.
FISCAL IMPACT
The project is located on major street corridors throughout the City of Fresno. The overall cost of the project is $818,770 and is federally funded by the RSTP with no local match. The project will not have any impact to the General Fund. Of the total project cost, $583,767 will be used for the construction contract award. It is anticipated that the project will result in approximately $80,000 in annual, ongoing utility bill savings. Because those utility bills are paid for through gas tax revenue, the savings will facilitate additional street light, pavement and concrete repairs in future years.
Attachments:
Vicinity Map
Evaluation of Bids
Fiscal Impact Statement
Standardized Construction Contract